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September 19, 2010

Dell Planning Second Chinese Center

by Sam Savage

A spokesman for Dell said Friday that the computer giant plans to open its second center in China next year as it looks into a $100 billion investment in the world's fastest growing market over the next decade.

Spokesman David Frink told AFP that the company's new center in Chengdu, which is located in the western Chinese province of Sichuan, will include manufacturing, sales and services to support its rapid growth in the region.

He said that the new center is expected to be operational in 2011 and will have up to 3,000 team members in addition to the 6,000 Dell already employs in China.

The company said in a statement that Dell's total spending in facilities, employment, research and development and purchases from suppliers in China "is estimated to be greater than $100 billion over the next decade."

According to the company, the choice of location for the new center also helps to support the government's policy of developing western areas as the coastal regions are becoming increasingly expensive for companies.

"The strong Chengdu workforce and our new operations there will better position Dell for additional growth opportunities in western China," Amit Midha, president of Dell China, told AFP.

Dell said its revenues in the country have increase 11 folds throughout the past decade.